Here are some more tools and information for your small business toolbox.

Need additional information? Click on the following links to learn more about our Financial Fitness resources.

Becoming sole owner of his business. Rosendero's Turning Point. 

When someone leaves their country and comes here, that is a huge step forward. The sacrifice, the infrastructure, the knowledge that make up this business - I wanted to stay open and serve the community.

An electrician with a passion for helping youth realize their potential, Rosendero immigrated to the United States from El Salvador in search of economic opportunity for his family.

Working odd jobs for years, he opened RV General Auto Services in 2007 with his two sons, including Edgar, his master mechanic. Over eight years, Rosendero learned from his oldest son, a certified expert in engines and hydraulics. When his sons left to pursue other opportunities, the fruits of his labor were left hanging in the balance. Committed to his clients, Rosendero decided to keep the business open and partnered with LEDC to fill out and submit all the necessary documents to re-register the business with the DC Department of Consumer and Regulatory Affairs under his name alone to continue serving his community.

LEDC's Micro-Lending Program is ready to help you achieve your small business dreams. 

Here are a few helpful documents to collect and fill out to make sure your experience with LEDC is an efficient and positive one. 

• Two years of your most recent tax returns, both business and personal 
• Four months of your most recent bank statements, both business and personal 
• Articles of incorporation for your business 
• Financial statements of the business, income statement (profit and loss) and balance sheet

What are the latest small business trends that could impact your small business? A successful small business is always keeping their ears to the ground.

• Small Business Quarterly Bulletin, Second Quarter 2012 (available for download as a link)
  SBA Office of Advocacy
• Small Business Lending, Fourth Quarter 2011 (available for download as a link)
  SBA Office of Advocacy

At LEDC, we want you to understand basic information about how we operate our Micro-Lending program. Read about the terms and requirements of our micro-loans.

For what purposes can business loans be used?

LEDC loans are term loans that can be used for working capital, equipment, inventory, advertising, and marketing, etc.

What documents are needed to apply for a loan?
Depending on the size of the loan and the applicant’s credit score, documents are required such as:

• Two years of personal and/or business tax returns.
• Four months of bank statements, personal and business. Personal bank statements required, business required if the business currently has its own account;

- Copy of applicable business licenses and permits;
- Financial statements including cash flow and profit and loss statements, and balance sheets if available;
- Lease agreement (if applicable);
- Proof of identification

Is there a minimum credit score necessary to apply for a business loan?
No. LEDC has been able to work with business owners with credit scores as low as 550.

Are there any fees?
Yes. There is one fee that is 3% of the loan amount for closed loans. There is also a $50 application fee.

What are the terms and interest rate of the Fund's loans?
LEDC offers installment loans and has the flexibility to set the term on all loans between 1 and 5 years based on the applicant’s needs. Interest rates typically range from 9 to 14 percent.

How long will the application process take?
Loans up to $10,000 are typically approved or denied approximately one week after all the application documents are received. Loans up to $50,000 typically take three weeks after all the application documents are received.

What factors does LEDC consider to determine whether or not a loan is approved?
LEDC takes a holistic approach to evaluating potential loan clients. We weigh many factors, such as the strength of the business, character references, availability of collateral, owner contribution, credit score, etc.

Are there any types of businesses that cannot apply for a loan?
Yes. Any business engaged in illegal activities or the sale of sexual-oriented goods or services, liquor stores, real estate and speculative investments are ineligible for the Fund's loans.

Are there any negative credit factors that make an applicant ineligible?
Yes. If an applicant owes back taxes to a State or the IRS or has not paid any court judgments or outstanding child support, he or she will not qualify for a loan.  

Can a start-up business apply for a loan?
Absolutely. That's what we're here for.

How can I start the process of applying for a loan?

• • Fill out a loan application online. 
  • If you are interested in a loan and your business is registered in the District of Columbia, please contact Amanda Gant, Small Business Lending Officer at (202) 540-7421 for more information.
  • If you are interested in a loan and your business is registered in Montgomery County, Maryland, please contact one of our Small Business Lending Officers: Carlos Garcia, Small Business Lending Officer at (202) 540-7425 or Isis Salmeron at (202) 540-7430 for more information.
  • If you are interested in a loan and your business is registered in Virginia, please contact Amanda Gant, Small Business Lending Officer at (202) 540-7421 for more information.